"The results for 2017 reflect year over year stability in our top-line
performance. Revenue stability combined with tight management of
operating and capital expenditures enabled us to generate $8.1 million
in free cash flow, which was above our guidance for the year.

Our full year revenue performance was driven by growth in broadband, in
particular by Wholesale broadband including wireless carrier backhaul
and federal end-user demand, moderated by lower than expected growth
from our health care vertical. While our full year revenue was flat year
over year, our fourth quarter 2017 revenue declined due to the
cumulative impact of price compression for the Rural Health Care
2017-2018 funding year for the period July 1 through December 31, 2017.
2017 Adjusted EBITDA, which includes a $2.6 million bad debt expense
related to Rural Health Care customers, was $56.7 million, meeting
annual guidance. Lastly, about 59% of our capital expenditures were
directed toward success-based investments providing a foundation for
future growth.

Entering 2018, we expect our Enterprise & Carrier business to continue
to drive our top-line performance as we benefit from our increasing
wireless backhaul business and additional opportunities from federal and
energy sector investments in Alaska. Further the recent turn up of
arctic fiber capacity by our partner, Quintillion Networks, opens
several Arctic markets for us further driving our market opportunity. We
are strengthening our mass market business serving residential and small
businesses by investing in fiber-fed WiFi, Fixed Wireless technologies
and an increasingly online customer interaction model, while positioning
to meet our CAF II obligations in a cost-effective manner.

Looking ahead, we remain focused on operating a quality business that
enables us to leverage the significant opportunities in the market. In
parallel, we continue to evaluate our current long-term business plan
against a broad range of strategic alternatives to enhance shareholder
value. I look forward to reporting progress on all fronts over the
upcoming months and quarters," said Anand Vadapalli, Alaska
Communications president and CEO.

Revenue Highlights

Total revenue:

Revenue was $54.9 million for the fourth quarter of 2017, compared
to $57.8 in the fourth quarter of 2016. Annual revenue was $226.9
million for both 2017 and 2016.

Total broadband revenue was $28.4 million for the fourth quarter
of 2017, compared to $30.1 million for the fourth quarter of 2016,
and was $123.1 million for 2017, compared to $115.8 million for
2016.

Business and wholesale:

Business and wholesale revenue was $33.1 million for the fourth
quarter of 2017, compared to $35.4 million for the fourth quarter
2016. 2017 revenue was $139.1 million, comprising 61.3 percent of
total revenue, compared to $136.9 million for 2016, comprising
60.3 percent of total revenue.

Business and wholesale broadband revenue was $22.1 million for the
fourth quarter of 2017 compared to $23.7 million for the fourth
quarter of 2016, and was $97.6 million for 2017, compared to $90.8
million for 2016.

Consumer:

Consumer revenue was $9.2 million for the fourth quarter of 2017,
compared to $9.4 million for the fourth quarter of 2016. 2017
revenue was $37.1 million, comprising 16.4 percent of total
revenue, compared to $37.7 million for 2016, comprising 16.7
percent of total revenue.

Consumer broadband revenue was $6.2 million for the fourth quarter
of 2017, compared to $6.4 million for the fourth quarter of 2016,
and was $25.4 million for 2017, compared to $25.0 million for 2016.

Regulatory:

Regulatory revenue was $12.6 million for the fourth quarter of
2017, compared to $13.0 million for the fourth quarter of 2016.
2017 revenue was $50.7 million for 2017, comprising 22.3 percent
of total revenue, compared to $52.3 million for 2016, comprising
23.0 percent of total revenue.

Financial Metrics

Net loss for the fourth quarter of 2017 was $3.0 million, compared to
net income of $1.6 million in the fourth quarter of 2016. 2017 net
loss was $6.1 million, compared to net income of $2.4 million for 2016.

Net cash provided by operating activities for the fourth quarter of
2017 was $4.7 million, compared to $8.8 million in the fourth quarter
of 2016. 2017 cash provided by operating activities was $30.4 million,
compared to $37.2 million for 2016.

Capital expenditures for the fourth quarter of 2017 were $8.9 million,
compared to $8.6 million fourth quarter of 2016.2017 capital
expenditures were $32.9 million, compared to $30.9 million in 2016.

Non-GAAP Metrics: Fourth Quarter 2017 compared to Fourth Quarter 2016
and Full Year 2017 to 2016

Adjusted EBITDA for the fourth quarter of 2017 was $14.9 million,
compared to $16.4 million for the fourth quarter of 2016. 2017
Adjusted EBITDA was $56.7 million, compared to $58.2 million for 2016.

Adjusted free cash flow for the fourth quarter of 2017 was $2.2
million, compared to $3.1 million for the fourth quarter of 2016. 2017
Adjusted free cash flow was $8.1 million, compared to $9.6 million for
2016.

Information regarding non-GAAP financial measures, including
reconciliations of non-GAAP financial measures to GAAP financial
measures can be found below, in tables at the end of this release and on
the company's website at http://www.alsk.com
in the investment data section.

Balance Sheet Metrics

Cash was $16.2 million at December 31, 2017, compared to $23.1 million
at December 31, 2016.

Net debt was $177.2 million at December 31, 2017, compared to $162.8
million at December 31, 2016.

2018 Outlook

Laurie Butcher, Alaska Communications senior vice-president of finance,
said, "Going into 2018, we continue to focus our attention on optimizing
capital allocation and cost management, while pursuing opportunities to
grow target verticals in our Enterprise & Carrier business. While we
continue to evaluate the impact of the Rural Health Care program funding
status, we are targeting stable performance across all our key financial
metrics and expect to provide 2018 guidance by the time we report our
first quarter results."

Conference Call

The Company will host a conference call and live webcast on Monday,
March 19, 2018 at 2:30 p.m. Eastern Time to discuss the results. Please
submit questions for the management team in advance to investors@acsalaska.com.
The live webcast will include a slide presentation. Parties in the
United States and Canada can access the call at 1-877-612-6725 and enter
pass code 660348. All other parties can access the call at
1-323-794-2558.

The live webcast of the conference call will be accessible from the
"Events Calendar" section of the Company's website (www.alsk.com).
The webcast will be archived for a period of 90 days. A telephonic
replay of the conference call will also be available two hours after the
call and will run until April 18, 2018 at 5:30 p.m. Eastern Time. To
hear the replay, parties in the United States and Canada can call
1-888-203-1112 and enter pass code 2301835. All other parties can call
1-719-457-0820 and enter pass code 2301835.

About Alaska Communications

Alaska Communications (NASDAQ: ALSK) is the leading provider of advanced
broadband and managed IT services for businesses and consumers in
Alaska. The company operates a highly reliable, advanced statewide data
network with the latest technology and the most diverse undersea fiber
optic system connecting Alaska to the contiguous U.S. For more
information, visit www.alaskacommunications.com
or www.alsk.com.

Non-GAAP Measures

In an effort to provide investors with additional information regarding
our financial results, we have provided certain non-GAAP financial
information, including Adjusted EBITDA, Adjusted Free Cash Flow and Net
Debt. Adjusted EBITDA eliminates the effects of period to period changes
in costs that are not directly attributable to the underlying
performance of the Company's business operations and is used by
Management and the Company's Board of Directors to evaluate current
operating financial performance, analyze and evaluate strategic and
operational decisions and better evaluate comparability between periods.
Adjusted Free Cash Flow is a non-GAAP liquidity measured used by
Management and the Company's Board of Directors to assess the Company's
ability to generate cash and plan for future operating and capital
actions. Adjusted EBITDA and Adjusted Free Cash Flow are common measures
utilized by our peers (other telecommunications companies) and we
believe they provide useful information to investors and analysts about
the Company's operating results, financial condition and cash flows. Net
Debt provides Management and the Company's Board of Directors with a
measure of the Company's current leverage position. The definition of
these non-GAAP measures is provided on Schedules 4, 6 and 9 to this
press release. Adjusted EBITDA and Adjusted Free Cash Flow should not be
considered a substitute for Net Income, Net Cash Provided by Operating
Activities and other measures of financial performance recorded in
accordance with GAAP. Reconciliations of our non-GAAP measures to our
nearest GAAP measures can be found in the tables in this release and on
our website in the investment data section. Other companies may not
calculate non-GAAP measures in the same manner as Alaska Communications.
The Company does not provide reconciliations of guidance for Adjusted
EBITDA to Net Income, and Adjusted Free Cash Flow to Net Cash from
Operating Activities, in reliance on the unreasonable efforts exception
provided under Item 10(e)(1)(i)(B) of Regulation S-K. The Company does
not forecast certain items required to develop the comparable GAAP
financial measures. These items are charges and benefits for
uncollectible accounts, certain other non-cash expenses, unusual items
typically excluded from Adjusted EBITDA and Adjusted Free Cash Flow, and
changes in operating assets and liabilities (generally the most
significant of these items, representing cash outflows of $15.3 million
for 2017).

Forward-Looking Statements

This press release includes certain "forward-looking statements," as
that term is defined in the Private Securities Litigation Reform Act of
1995. These forward-looking statements are based on management's beliefs
as well as on a number of assumptions concerning future events made
using information currently available to management. Such statements
include all statements regarding our review of our current long-term
business plan against a broad range of alternatives that have the
potential to enhance shareholder value, the timing of such review, and
the possible outcomes of such review and our current and projected
financial and operating performance and all guidance related thereto.
Readers are cautioned not to put undue reliance on such forward-looking
statements, which are not a guarantee of performance and are subject to
a number of uncertainties and other factors, many of which are outside
the Company's control. Such factors include, without limitation, Federal
and Alaska Universal Service Fund changes including Rural Health Care
Program funding limitations, adverse economic conditions, expectations
regarding capital allocation and cost management, the effects of
competition in our markets, unforeseen challenges when entering new
markets, our relatively small size compared with our competitors, the
Company's ability to compete, manage, integrate, market, maintain, and
attract sufficient customers for its products and services, adverse
changes in labor matters, including workforce levels, our ability to
service our debt and refinance as required, labor negotiations,
including renegotiating our collective bargaining agreement, employee
benefit costs, our ability to control other operating costs, disruption
of our supplier's provisioning of critical products or services, the
impact of natural or man-made disasters, changes in Company's
relationships with large customers, unforeseen changes in public
policies, regulatory changes, changes in technology and standards,
risks, disruption, costs and uncertainty caused by or related to the
actions of activist shareholders, including that if individuals are
elected to our Board with a specific agenda, it may adversely affect our
ability to effectively implement our business strategy and create value
for our shareholders and perceived uncertainties as to our future
direction as a result of potential changes to the composition of our
Board may lead to the perception of a change in the direction of our
business, instability or a lack of continuity which may be exploited by
our competitors, cause concern to our current or potential customers,
and may result in the loss of potential business opportunities and make
it more difficult to attract and retain qualified personnel and business
partners, our internal control over financial reporting, and changes in
accounting standards or policies, which could affect reported financial
results. For further information regarding risks and uncertainties
associated with the Company's business, please refer to the Company's
SEC filings, including, but not limited to, the sections entitled "Risk
Factors" and "Management's Discussion and Analysis of Financial
Condition and Results of Operations" in our annual report on Form 10-K
and quarterly reports on Form 10-Q. Copies of the Company's SEC filings
may be obtained by contacting its investor relations department at (907)
564-7556 or by visiting its investor relations website at www.alsk.com.

Schedule 1

ALASKA COMMUNICATIONS SYSTEMS GROUP, INC.

CONSOLIDATED SCHEDULE OF OPERATIONS

(Unaudited, In Thousands Except Per Share Amounts)

Three Months Ended

Twelve Months Ended

December 31,

December 31,

2017

2016

2017

2016

Operating revenues

$

54,935

$

57,793

$

226,905

$

226,866

Operating expenses:

Cost of services and sales (excluding depreciation and amortization)

26,318

25,073

104,604

102,137

Selling, general & administrative

14,435

17,173

67,227

70,209

Depreciation and amortization

9,193

8,782

36,317

34,690

Loss on disposal of assets, net

(23

)

37

50

321

Total operating expenses

49,923

51,065

208,198

207,357

Operating income

5,012

6,728

18,707

19,509

Other income and (expense):

Interest expense

(3,525

)

(3,857

)

(14,860

)

(15,447

)

Loss on extinguishment of debt

-

-

(7,527

)

(336

)

Interest income

7

8

34

26

Total other income and (expense)

(3,518

)

(3,849

)

(22,353

)

(15,757

)

Income (loss) before income tax expense

1,494

2,879

(3,646

)

3,752

Income tax expense

(4,470

)

(1,282

)

(2,584

)

(1,499

)

Net (loss) income

(2,976

)

1,597

(6,230

)

2,253

Less net loss attributable to noncontrolling interest

(29

)

(32

)

(129

)

(133

)

Net (loss) income attributable to Alaska Communications

$

(2,947

)

$

1,629

$

(6,101

)

$

2,386

Net (loss) income per share attributable to Alaska Communications:

Net (loss) income applicable to common shares

$

(2,947

)

$

1,629

$

(6,101

)

$

2,386

Basic and Diluted

$

(0.06

)

$

0.03

$

(0.12

)

$

0.05

Weighted average shares outstanding:

Basic

52,448

51,358

52,232

51,169

Diluted

52,448

53,004

52,232

52,188

Schedule 2

ALASKA COMMUNICATIONS SYSTEMS GROUP, INC.

CONSOLIDATED BALANCE SHEETS

(Unaudited, In Thousands Except Per Share Amounts)

December 31,

December 31,

Assets

2017

2016

Current assets:

Cash and cash equivalents

$

4,354

$

21,228

Restricted cash

11,814

1,917

Accounts receivable, net of allowance of $2,729 and $1,115

32,535

25,062

Materials and supplies

7,046

4,917

Prepayments and other current assets

6,115

5,995

Total current assets

61,864

59,119

Property, plant and equipment

1,357,929

1,349,899

Less: accumulated depreciation and amortization

(991,816

)

(983,050

)

Property, plant and equipment, net

366,113

366,849

Deferred income taxes

3,394

14,718

Other assets

11,415

1,674

Total assets

$

442,786

$

442,360

Liabilities and Stockholders' Equity

Current liabilities:

Current portion of long-term obligations

$

17,030

$

1,973

Accounts payable, accrued and other current liabilities

36,148

38,180

Advance billings and customer deposits

4,213

4,167

Total current liabilities

57,391

44,320

Long-term obligations, net of current portion

168,959

177,626

Deferred income taxes

596

-

Other long-term liabilities, net of current portion

61,330

61,538

Total liabilities

288,276

283,484

Commitments and contingencies

Alaska Communications stockholders' equity:

Common stock, $.01 par value; 145,000 authorized

525

515

Additional paid in capital

158,969

159,474

(Accumulated deficit) retained earnings

(3,579

)

752

Accumulated other comprehensive loss

(2,396

)

(2,910

)

Total Alaska Communications stockholders' equity

153,519

157,831

Noncontrolling interest

991

1,045

Total stockholders' equity

154,510

158,876

Total liabilities and stockholders' equity

$

442,786

$

442,360

Schedule 3

ALASKA COMMUNICATIONS SYSTEMS GROUP, INC.

CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited, In Thousands)

Three Months Ended

Twelve Months Ended

December 31,

December 31,

2017

2016

2017

2016

Cash Flows from Operating Activities:

Net (loss) income

$

(2,976

)

$

1,597

$

(6,230

)

$

2,253

Adjustments to reconcile net (loss) income to net cash provided by
operating activities:

Depreciation and amortization

9,193

8,782

36,317

34,690

(Gain) loss on the disposal of assets, net

(23

)

37

50

321

Amortization of debt issuance costs and debt discount

412

1,011

2,363

4,046

Loss on extinguishment of debt

-

-

7,527

336

Amortization of deferred capacity revenue

(911

)

(872

)

(3,512

)

(3,436

)

Stock-based compensation

667

683

1,509

2,830

Deferred income tax

13,422

1,312

11,582

1,855

Tax deficiencies from share-based payments

-

4

-

(47

)

Charge for uncollectible accounts

1,015

212

3,577

378

Other non-cash expense, net

145

155

575

621

Change in income tax payable or receivable

(8,629

)

338

(8,052

)

(514

)

Changes in operating assets and liabilities

(7,597

)

(4,417

)

(15,300

)

(6,127

)

Net cash provided by operating activities

4,718

8,842

30,406

37,206

Cash Flows from Investing Activities:

Capital expenditures

(8,891

)

(8,569

)

(32,945

)

(30,920

)

Capitalized interest

(368

)

(266

)

(1,140

)

(1,077

)

Change in unsettled capital expenditures

(507

)

877

1,500

(8,304

)

Proceeds on sale of assets

34

-

40

2,664

Net cash used by investing activities

(9,732

)

(7,958

)

(32,545

)

(37,637

)

Cash Flows from Financing Activities:

Repayments of long-term debt

(2,088

)

(1,066

)

(176,466

)

(13,421

)

Proceeds from the issuance of long-term debt

-

-

183,000

-

Debt issuance costs and discounts

-

(500

)

(5,559

)

(544

)

Cash paid for debt extinguishment

-

-

(5,522

)

(150

)

Cash proceeds from noncontrolling interest

-

-

75

75

Payment of withholding taxes on stock-based compensation

(4

)

(4

)

(605

)

(476

)

Proceeds from issuance of common stock

123

137

239

267

Net cash used by financing activities

(1,969

)

(1,433

)

(4,838

)

(14,249

)

Change in cash, cash equivalents and restricted cash

(6,983

)

(549

)

(6,977

)

(14,680

)

Cash, cash equivalents and restricted cash, beginning of period

23,151

23,694

23,145

37,825

Cash, cash equivalents and restricted cash, end of period

$

16,168

$

23,145

$

16,168

$

23,145

Supplemental Cash Flow Data:

Interest paid

$

3,630

$

4,596

$

14,504

$

12,608

Income taxes (refunded) paid, net

$

(322

)

$

(372

)

$

(946

)

$

205

Schedule 4

ALASKA COMMUNICATIONS SYSTEMS GROUP, INC.

ADJUSTED EBITDA

(Unaudited, In Thousands)

Three Months Ended

Twelve Months Ended

December 31,

December 31,

2017

2016

2017

2016

Net (loss) income

$

(2,976

)

$

1,597

$

(6,230

)

$

2,253

Add (subtract):

Interest expense

3,525

3,857

14,860

15,447

Loss on extinguishment of debt

-

-

7,527

336

Interest income

(7

)

(8

)

(34

)

(26

)

Depreciation and amortization

9,193

8,782

36,317

34,690

(Gain) loss on the disposal of assets, net

(23

)

37

50

321

Income tax expense

4,470

1,282

2,584

1,499

Stock-based compensation

667

683

1,509

2,830

Long-term cash incentives

-

179

-

764

Net loss attributable to noncontrolling interest

29

32

129

133

Adjusted EBITDA

$

14,878

$

16,441

$

56,712

$

58,247

NonGAAP Measures:

The Company provides certain non-GAAP financial information,
including Adjusted EBITDA, Adjusted Free Cash Flow and Net Debt.
Adjusted EBITDA eliminates the effects of period to period changes
in costs that are not directly attributable to the underlying
performance of the Company's business operations and is used by
Management and the Company's Board of Directors to evaluate
current operating financial performance, analyze and evaluate
strategic and operational decisions and better evaluate
comparability between periods. Adjusted Free Cash Flow is a
non-GAAP liquidity measure used by Management to assess the
Company's ability to generate cash and plan for future operating
and capital actions. Adjusted EBITDA and Adjusted Free Cash Flow
are common measures utilized by our peers (other
telecommunications companies) and we believe they provide useful
information to investors and analysts about the Company's
operating results, financial condition and cash flows. Net Debt
provides Management and the Board of Directors with a measure of
the Company's current leverage position.

The Company does not provide reconciliations of guidance for
Adjusted EBITDA to Net Income, and Adjusted Free Cash Flow to Net
Cash Provided by Operating Activities, in reliance on the
unreasonable efforts exception provided under Item 10(e)(1)(i)(B) of
Regulation S-K. The Company does not forecast certain items required
to develop the comparable GAAP financial measures. These items are
charges and benefits for uncollectible accounts, certain other
non-cash expenses, unusual items typically excluded from Adjusted
EBITDA and Adjusted Free Cash Flow, and changes in operating assets
and liabilities (generally the most significant of these items,
representing cash outflows of $15.3 million in the twelve-month
period ended December 31, 2017).

Adjusted EBITDA and Adjusted Free Cash Flow are not GAAP measures
and should not be considered a substitute for net income, net cash
provided by operating activities, or net cash provided or used.
Adjusted EBITDA as computed above is not consistent with the
definition of Consolidated EBITDA referenced in our 2017 Senior
Credit Agreement and 2015 Senior Credit Agreements, and other
companies may not calculate Non-GAAP measures in the same manner we
do.

Adjusted EBITDA is defined as net income (loss) before interest,
loss on extinguishment of debt, depreciation and amortization, gain
or loss on asset purchases or disposals, income taxes, stock-based
compensation, net loss attributable to noncontrolling interest and
expenses under the Company's long term cash incentive plan ("LTCI").
LTCI expenses are considered part of an interim compensation
structure, which ended in 2016, to mitigate the dilutive impact of
additional share issuances for executive compensation.

* Quarterly Adjusted Free Cash Flow fluctuates and should not be
viewed as an indicator of annual performance. Onetime events,
seasonality of capital spend and the timing of interest payments may
result in negative Adjusted Free Cash Flow in one or more quarters.

NonGAAP Measures:

Adjusted Free Cash Flow is a non-GAAP liquidity measure and is
defined as Adjusted EBITDA, less recurring operating cash
requirements which include capital expenditures, cash income taxes
refunded or paid, cash interest paid, amortization of GCI capacity
revenue, and cash receipts and payments associated with the
purchase of the North Slope fiber network and establishment of our
joint venture with QHL. Amortization of deferred revenue
associated with our interconnection agreement with GCI is excluded
from Adjusted Free Cash Flow because no cash was received by the
Company in connection with this agreement. Amortization of all
other deferred revenue, including that associated with other IRU
capacity arrangements, is included in Adjusted Free Cash Flow
because cash was received by the Company, typically at contract
inception, and is being amortized to revenue over the term of the
relevant agreement.

See Schedule 3 for Net cash provided by operating activities, Net
cash used by investing activities, and Net cash used by financing
activities.

See Schedule 5 for the reconciliation of net cash provided by
operating activities to Adjusted Free Cash Flow.

New internet connectivity allows businesses in underserved areas of
the state to be more connected than ever.

ANCHORAGE, Alaska--(BUSINESS WIRE)--
Doing business in Alaska's arctic region, off the road system, comes
with a unique set of logistical and technological challenges. Alaska
Communications (NASDAQ: ALSK) is working with rural businesses to
provide solutions, allowing them to be more connected than ever.

"Many businesses in the Arctic regions have offices in Anchorage and
other metropolitan communities. Having access to competitive, high-speed
broadband will allow them to connect without limits," said Bill Bishop,
senior vice president, Business Markets. "Businesses can become more
efficient and effective because they won't be constrained by shared
networks, slow connectivity and data caps."

Alaska Communications is proud to provide support solutions to
Nome-based Kawerak, a regional non-profit corporation, by offering
competitive, high-speed broadband. This move will address the extremely
high prices and substantial bandwidth constraints previously faced by
the Bering Strait Regional corporation.

"This contract will have a positive impact on business, connectivity and
how Kawerak works with companies and customers outside of Nome," said
Bishop.

In addition to its work in Nome, Alaska Communications is bringing new
services to Utqiaġvik, Kotzebue, Point Hope and Wainwright. For the
first time, Native corporations, government agencies, health care
clinics, schools and businesses now can access competitive, high-speed,
reliable broadband and managed IT services. Additionally, high-speed,
reliable broadband is available through a fiber optic network where most
new oil and gas development is occurring in Alaska's North Slope.

The fiber optic broadband network is now available following a
multi-year effort by Quintillion to lay infrastructure and connect two
undersea fiber optic cable networks. The connection increases capacity
and builds redundancy on the subsea fiber optic system, which allows
Alaska Communications to expand broadband and managed IT service
offerings to Arctic region businesses. Previously, only high-cost
microwave and satellite were available from a sole provider.

Alaska Communications is first making this new network available to
business customers and select telecom carriers. It will work with local
exchange carriers in each community to bring high-speed broadband
opportunities to homes.

About Alaska Communications

Alaska Communications (NASDAQ: ALSK) is the leading provider of advanced
broadband and managed IT services for businesses and consumers in
Alaska. The company operates a highly reliable, advanced statewide data
network with the latest technology and the most diverse undersea fiber
optic system connecting Alaska to the contiguous U.S. For more
information, visit www.alaskacommunications.com
or www.alsk.com.

About Quintillion

Headquartered in Anchorage, Quintillion is bringing lower-cost,
high-speed broadband service options to rural Alaska and enabling new
ground-based national defense infrastructure in the Arctic for the first
time. Quintillion, together with its partners, is changing Alaska's
middle mile capabilities with the construction of new fiber optic cable
systems that went live December 2017, including subsea fiber from
Prudhoe Bay to Nome with additional connections into Utqiaġvik (Barrow),
Wainwright, Point Hope, and Kotzebue, and terrestrial cable from
Fairbanks to the oil and gas industry at Deadhorse/Prudhoe Bay.
Quintillion is exploring the business case to establish the continent's
first North American Arctic Data Center on its network. The Alaska
portion of the Quintillion Subsea Cable System is the first phase of a
planned multiphase international subsea cable system designed to connect
Europe to Asia along the Lower Northwest Passage, providing a diverse
and shorter route between the two continents. For more information,
please visit www.Qexpressnet.com.

About Kawerak

Kawerak's mission is to advance the capacity of our people and tribes
for the benefit of the region. With programs ranging from education to
transportation, and natural resource management to economic development,
Kawerak seeks to improve the Bering Strait Region's social, economic,
educational, cultural and political conditions to see our people and
tribes thrive. Kawerak, Inc. is a regional non-profit corporation formed
by the tribes following the passage of the Alaska Native Claims
Settlement Act in 1971.

ANCHORAGE, Alaska--(BUSINESS WIRE)--
Alaska Communications (NASDAQ:ALSK) today announced it will release
financial results for the fourth quarter and year end 2017 Friday, Mar.
16, 2018. The company will host a conference call and live webcast to
discuss operating results Monday, Mar. 19, 2018 at 2:30 p.m. Eastern
Time. The live webcast will include a slide presentation. On the call,
the management team will answer questions submitted in advance. Please
email questions to investors@acsalaska.com.

Parties in the U.S. and Canada can access the call at 1-877-612-6725 and
enter code 660348. All other parties can access the call at
1-323-794-2558 using the same code.

The live webcast of the conference call will be accessible from the
"Events Calendar" section of the company's investor website (www.alsk.com).
The webcast will be archived for 90 days. A replay of the conference
call will also be available two hours after the call and will run until
April 18, 2018, at 5:30 p.m. ET. To hear the replay, parties in the U.S.
and Canada can call 1-888-203-1112 and enter code 2301835. All other
parties can call 1-719-457-0820 and enter code 2301835.

About Alaska Communications

Alaska Communications (NASDAQ: ALSK) is a leading provider of advanced
broadband and managed IT services for businesses and consumers in
Alaska. The company operates a highly reliable, advanced statewide data
and voice network with the latest technology and the most diverse
undersea fiber optic system connecting Alaska to the contiguous U.S. For
more information, visit http://www.alaskacommunications.com
or http://www.alsk.com.

ANCHORAGE, Alaska--(BUSINESS WIRE)--
Alaska Communications (NASDAQ: ALSK), the state's leading broadband and
managed IT services provider, today confirmed that it has received a
purported notice of nomination from TAR Holdings LLC regarding its
intention to nominate three director candidates to Alaska
Communications' six-member board of directors at Alaska Communications'
2018 Annual Meeting of Stockholders.

TAR Holdings, an entity for which Karen Singer serves as the sole
member, has indicated in its purported notice of nomination that it is
seeking to nominate the following three candidates to Alaska
Communications' Board of Directors: Steven G. Singer (brother-in-law of
Karen Singer), Wayne Barr, Jr. and Patrick F. Doyle.

Alaska Communications, in consultation with its advisors, intends to
review TAR Holdings' purported notice of nomination to assess whether it
complies with Alaska Communications' Amended and Restated Bylaws and,
accordingly, at this point, Alaska Communications is unable to confirm
that such purported notice of nominations, as submitted, is in
compliance with Alaska Communications' Amended and Restated Bylaws.

The Alaska Communications Board will present its formal recommendation
regarding director nominations in Alaska Communications' definitive
proxy statement to be filed with the Securities and Exchange Commission
in connection with its 2018 Annual Meeting of Stockholders. Alaska
Communications stockholders are not required to take any action at this
time.

Alaska Communications (NASDAQ: ALSK) is the leading provider of advanced
broadband and managed IT services for businesses and consumers in
Alaska. The company operates a highly reliable, advanced statewide data
network with the latest technology and the most diverse undersea fiber
optic system connecting Alaska to the contiguous U.S. For more
information, visit www.alaskacommunications.com
or www.alsk.com.

Important Additional Information And Where To Find It

Alaska Communications, its directors and certain of its executive
officers are deemed to be participants in the solicitation of proxies
from Alaska Communications' stockholders in connection with the matters
to be considered at Alaska Communications' 2018 Annual Meeting of
Stockholders. Information regarding the names of Alaska Communications'
directors and executive officers and their respective interests in
Alaska Communications by security holdings or otherwise can be found in
Alaska Communications' proxy statement for its 2017 Annual Meeting of
Stockholders, filed with the Securities and Exchange Commission ("SEC")
on April 27, 2017. To the extent holdings of Alaska Communications'
securities have changed since the amounts set forth in Alaska
Communications' proxy statement for its 2017 Annual Meeting of
Stockholders, such changes have been reflected on Initial Statements of
Beneficial Ownership on Form 3 or Statements of Change in Ownership on
Form 4 filed with the SEC. These documents are available free of charge
at the SEC's website at www.sec.gov.
Alaska Communications intends to file a proxy statement and accompanying WHITE
proxy card with the SEC in connection with the solicitation of proxies
from Alaska Communications stockholders in connection with the matters
to be considered at Alaska Communications' 2018 Annual Meeting of
Stockholders. Additional information regarding the identity of
participants, and their direct or indirect interests, by security
holdings or otherwise, will be set forth in Alaska Communications' proxy
statement for its 2018 Annual Meeting, including the schedules and
appendices thereto. INVESTORS AND STOCKHOLDERS ARE STRONGLY
ENCOURAGED TO READ ANY SUCH PROXY STATEMENT AND THE ACCOMPANYING WHITE
PROXY CARD AND OTHER DOCUMENTS FILED BY ALASKA COMMUNICATIONS WITH THE
SEC CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE AS THEY
WILL CONTAIN IMPORTANT INFORMATION. Stockholders will be able to
obtain the Proxy Statement, any amendments or supplements to the Proxy
Statement, the accompanying WHITE
proxy card, and other documents filed by Alaska Communications with the
SEC for no charge at the SEC's website at www.sec.gov.
Copies will also be available at no charge at the Investor Relations
section of Alaska Communications' corporate website at www.alsk.com,
by writing to Alaska Communications' Corporate Secretary at Alaska
Communications Systems Group, Inc., 600 Telephone Avenue, Anchorage AK
99503 or by contacting Alaska Communications' investor relations
department at (907) 564-7556.

ANCHORAGE, Alaska--(BUSINESS WIRE)--
Alaska Communications (NASDAQ: ALSK) today announced that its Board of
Directors has approved the adoption of a tax benefits preservation plan
(or "the plan") in the form of a Section 382 Rights Agreement designed
to protect and preserve the long-term value of certain tax assets
primarily associated with net operating loss carryforwards. Alaska
Communications intends to submit the tax benefits preservation plan,
which is similar to tax benefits preservation plans adopted by many
other public companies with significant tax assets, for stockholder
ratification at its 2018 Annual Meeting of Stockholders.

As of December 31, 2016, Alaska Communications had approximately $67.5
million of (pre-tax) federal net operating loss carryforwards or NOLs
that could potentially be utilized in certain circumstances to offset
Alaska Communications' future taxable income and reduce its federal
income tax liability. Additional information with respect to Alaska
Communications' NOLs is contained in Alaska Communications' Annual
Report on Form 10-K for the fiscal year ended December 31, 2016 which
Alaska Communications filed with the Securities and Exchange Commission
on March 16, 2017.

Section 382 of the Internal Revenue Code imposes limitations on the
future use of a company's NOLs if it undergoes an "ownership change."
Alaska Communications' ability to benefit from its tax assets would be
substantially limited by Section 382 if an "ownership change" occurred.
A company experiences an "ownership change" for tax purposes if the
percentage of stock owned by one or a group of its 5% stockholders (as
defined for tax purposes) increases by more than 50 percentage points
over a rolling three-year period over the lowest percentage of stock of
such corporation owned by such stockholders at any time during that
period. While Alaska Communications periodically monitors its NOLs and
currently believes that an ownership change that would materially impair
the value of its NOLs has not occurred, the complexity of Section 382's
provisions and the limited knowledge any public company has about the
ownership of its publicly traded stock make it difficult to determine
whether an ownership change has in fact occurred.

To protect Alaska Communications' NOLs from being limited or permanently
lost under Section 382, the tax benefits preservation plan is intended
to deter any person or group from acquiring beneficial ownership of
4.99% or more of Alaska Communications' outstanding common stock without
the approval of the Board and, thereby, reduce the likelihood of an
unintended "ownership change." There is no assurance, however, that
the tax benefits preservation plan will prevent Alaska Communications
from experiencing an "ownership change."

Pursuant to the tax benefits preservation plan, one preferred stock
purchase right will be issued for each share of Alaska Communications'
common stock held by stockholders of record on January 19, 2018. Under
the tax benefits preservation plan, the rights will become exercisable
only if a person or group acquires beneficial ownership of 4.99% or more
of Alaska Communications' common stock without the approval of the
Board. A person or group who acquires, without the approval of the
Board, beneficial ownership (as defined in the tax benefits preservation
plan) of 4.99% or more of Alaska Communications' outstanding common
stock (including any ownership interest held by that person's
"affiliates" and "associates" as defined under the tax benefits
preservation plan) could be subject to significant dilution.
Stockholders who beneficially owned 4.99% or more of Alaska
Communications' outstanding common stock prior to the first public
announcement by Alaska Communications of the plan will not trigger any
penalties under the tax benefits preservation plan so long as they do
not acquire beneficial ownership of any additional shares of common
stock (other than pursuant to a stock split, reverse stock split, stock
dividend, reclassification or similar transaction effected by Alaska
Communications) at a time when they still beneficially own 4.99% or more
of such common stock. The Board also retains the sole discretion to
exempt any person or group from the consequences imposed by the plan.

The preferred stock purchase rights and the tax benefits preservation
plan will expire no later than January 8, 2021. The preferred stock
purchase rights and the tax benefits preservation plan may also expire
on an earlier date upon the occurrence of other events, including a
determination by Alaska Communications' Board that (i) the tax benefits
preservation plan is no longer necessary or desirable for the
preservation of Alaska Communications' tax attributes, or (ii) no tax
attributes may be carried forward (with such expiration occurring as of
the beginning of the applicable taxable year).

The issuance of the preferred stock purchase rights pursuant to the tax
benefits preservation plan will not affect Alaska Communications'
reported earnings per share and such issuance should not be taxable to
Alaska Communications or its stockholders.

Additional information with respect to the tax benefits preservation
plan will be contained in the related Current Report on Form 8-K and
Registration Statement on Form 8-A that Alaska Communications is filing
with the Securities and Exchange Commission. Copies of these documents
can be obtained, when available, at the SEC's internet website at www.sec.gov.

Alaska Communications (NASDAQ: ALSK) is the leading provider of advanced
broadband and managed IT services for businesses and consumers in
Alaska. The company operates a highly reliable, advanced statewide data
network with the latest technology and the most diverse undersea fiber
optic system connecting Alaska to the contiguous U.S. For more
information, visit www.alaskacommunications.com
or www.alsk.com.

Safe Harbor

This press release contains "forward-looking statements" as defined
under the U.S. federal securities laws, including the Private Securities
Litigation Reform Act of 1995, and is subject to the safe harbors
created by such laws. Forward-looking statements contained in this press
release may relate to, but are not limited to, statements regarding our
future taxable income, our ability to utilize and realize the value of
our net operating loss carryforwards and how they could be substantially
limited if we experienced an ownership change as defined in Section 382
of the Internal Revenue Code and whether the tax benefits preservation
plan will reduce the likelihood of such an unintended ownership change
from occurring. Such forward-looking statements are based on current
expectations that involve a number of known and unknown risks,
uncertainties and other factors which may cause actual events to be
materially different from those expressed or implied by such
forward-looking statements. Information on factors that may impact these
forward-looking statements can be found in the "Management's Discussion
and Analysis of Financial Condition and Results of Operations" and "Risk
Factors" sections contained in Alaska Communications' periodic reports
filed with the Securities and Exchange Commission, including, but not
limited to, its latest Annual Report on Form 10-K and its latest
Quarterly Report on Form 10-Q, copies of which may be obtained from www.sec.gov
or by contacting Alaska Communications' investor relations department at
(907) 564-7556 or by visiting its investor relations website at www.alsk.com.
The forward-looking statements in this press release are made as of the
date hereof. Notwithstanding changes that may occur with respect to
matters relating to any forward-looking statements, Alaska
Communications assumes no obligation to publicly update, amend or
clarify its forward-looking statements, whether as a result of new
information, future events or otherwise, except as may otherwise be
required by the federal securities laws. Alaska Communications, however,
reserves the right to update such statements or any portion thereof at
any time for any reason.